unanswered not submitted Attempts Remaining: Infinity Caspian Sea Drinks is considering the purchase of a plum juicer - the PJX5. There is no planned increase in production. The PJX5 will reduce costs by squeezing more juice from each plum and doing so in a more efficient manner. Mr. Bensen gave Derek the following information. What is the NPV of the PJX5? a. The PJX5 will cost $1.86 million fully installed and has a 10 year life. It will be depreciated to a book value of $153,102.00 and sold for that amount in year 10. b. The Engineering Department spent $19,997.00 researching the various juicers. c. Portions of the plant floor have been redesigned to accommodate the juicer at a cost of $21,214.00. d. The PJX5 will reduce operating costs by $481,427.00 per year. e. CSD's marginal tax rate is 22.00%. f. CSD is 73.00% equity-financed. g. CSD's 18.00-year, semi-annual pay, 6.31% coupon bond sells for $995.00. h. CSD's stock currently has a market value of $23.21 and Mr. Bensen believes the market estimates that dividends will grow at 2.98% forever. Next year's dividend projected to be $1.57. Submit Answer format: Currency: Round to: 2 decimal places. unanswered Caspian Sea Drinks is considering the purchase of a plum juicer - the PJX5. There is no planned increase in production. The PJX5 will reduce costs by squeezing more juice from each plum and doing so in a more efficient manner. Mr. Bensen gave Derek the following information. What is the IRR of the PJX5? a. The PJX5 will cost $2.03 million fully installed and has a 10 year life. It will be depreciated to a book value of $277,752.00 and sold for that amount year 10. not submitted Attempts Remaining: Infinity b. The Engineering Department spent $22,636.00 researching the various juicers. c. Portions of the plant floor have been redesigned to accommodate the juicer at a cost of $21,847.00. d. The PJX5 will reduce operating costs by $345,495.00 per year. e. CSD's marginal tax rate is 29.00%. f. CSD is 58.00% equity-financed. g. CSD's 11.00-year, semi-annual pay, 5.36% coupon bond sells for $1,001.00. h. CSD's stock currently has a market value of $22.10 and Mr. Bensen believes the market estimates that dividends will grow at 2.39% forever. Next year's dividend is projected to be $1.66. Submit Answer format: Percentage Round to: 2 decimal places (Example: 9.24%, % sign required. Will accept decimal format unanswered not submitted Attempts Remaining: Infinity Caspian Sea Drinks is considering the purchase of a plum juicer - the PJX5. There is no planned increase in production. The PJX5 will reduce costs by squeezing more juice from each plum and doing so in a more efficient manner. Mr. Bensen gave Derek the following information. What is the NPV of the PJX5? a. The PJX5 will cost $1.86 million fully installed and has a 10 year life. It will be depreciated to a book value of $153,102.00 and sold for that amount in year 10. b. The Engineering Department spent $19,997.00 researching the various juicers. c. Portions of the plant floor have been redesigned to accommodate the juicer at a cost of $21,214.00. d. The PJX5 will reduce operating costs by $481,427.00 per year. e. CSD's marginal tax rate is 22.00%. f. CSD is 73.00% equity-financed. g. CSD's 18.00-year, semi-annual pay, 6.31% coupon bond sells for $995.00. h. CSD's stock currently has a market value of $23.21 and Mr. Bensen believes the market estimates that dividends will grow at 2.98% forever. Next year's dividend projected to be $1.57. Submit Answer format: Currency: Round to: 2 decimal places. unanswered Caspian Sea Drinks is considering the purchase of a plum juicer - the PJX5. There is no planned increase in production. The PJX5 will reduce costs by squeezing more juice from each plum and doing so in a more efficient manner. Mr. Bensen gave Derek the following information. What is the IRR of the PJX5? a. The PJX5 will cost $2.03 million fully installed and has a 10 year life. It will be depreciated to a book value of $277,752.00 and sold for that amount year 10. not submitted Attempts Remaining: Infinity b. The Engineering Department spent $22,636.00 researching the various juicers. c. Portions of the plant floor have been redesigned to accommodate the juicer at a cost of $21,847.00. d. The PJX5 will reduce operating costs by $345,495.00 per year. e. CSD's marginal tax rate is 29.00%. f. CSD is 58.00% equity-financed. g. CSD's 11.00-year, semi-annual pay, 5.36% coupon bond sells for $1,001.00. h. CSD's stock currently has a market value of $22.10 and Mr. Bensen believes the market estimates that dividends will grow at 2.39% forever. Next year's dividend is projected to be $1.66. Submit Answer format: Percentage Round to: 2 decimal places (Example: 9.24%, % sign required. Will accept decimal format